What type of check does it exist? Which ones are endossable?
What type of check does it exist? Between checks intended to be exchanged abroad for a defined currency and those used by individuals to pay for certain tasks, it becomes difficult to differentiate them! How many check models exist there ? What are their specificities ? Review of various types of existing checks, with Dougs!
Pre-locked checks are the most popular type of check payment made by the public . Indeed, they are the ones whose individuals use in the usual way. Banking institutions provide these checks in a completely free way. They will only be paid under the condition of having a bank account.
They are therefore not payable on demand, can not be exchanged for the amount directly at the counter of a bank, nor endorsable , ie they can not be exchanged to a third person.
Check not crossed
The check not crossed, however, will be paid in cash at various counters of the same bank. This type of check is endorsable: the beneficiary of the check sent may even give it to someone else for the purpose of paying the latter.
This type of check is increasingly rare, and even more so in individuals. The reason ? Severe supervision and bank charges accordingly. It can emit only after filing preliminary request; and that a declaration has been transmitted to the tax authorities upon request of the latter. And on the other hand, stamp duty may be added bank fees to pay when issuing the check.
The bank check
It is used at the request of the seller for certain transactions between individuals for large sums. This one acts as a guarantee of payment. The bank issues the bank check at the request of the debtor customer and blocks this provision during the period of validity, up to one year and 8 days.
Beware, however, of bank check scams that are commonplace. That is why it is advisable never to accept a bank check without being able to verify its reliability with the banking establishment which would have written it. The most prudent solution is still to give an appointment to the buyer in his bank when completing the sale.
Like a bank check , the certified check has a guarantee for its beneficiary , but on a shortened period ( 8 days ). The day the bank certifies the check marks the day of debiting the customer account. But if it does not get paid in 8 days; then this check will become an ordinary crossed check and the certifying institution will withdraw from any involvement. That’s why this check is so little used compared to bank checks.
The intended check
This check is intended for the bank to guarantee the availability of its amount on the account of the issuer.
The CESU universal employment check
The purpose of the CESU is to pay the salaries of the personal employees. For example: the housekeeper, the babysitter, … Once the declaration to the URSSAF made, the amounts paid by CESU earn a tax reduction of the order of 50%.
The traveler’s check
The traveler’s check is issued for a fixed amount in a specific currency. Their holder signs them once at the time of purchase, then a second when they are used abroad. An identity document will be requested during this second signature to ensure the identity of the signatory. They can exchange for cash in local currency or in all banks and exchange offices or even use it as a means of payment for many merchants.
Be aware, however, that traders do not get used to this kind of payment method; some will not accept them, others will not give you change.
In order to avoid this kind of gene, prefer travelers checks (also known as traveler’s check) of known company (American express for example), and avoid the amounts too important.
If you lose it or have it stolen, your traveler’s check will be refunded or replaced (within 24 to 48 hours). It is sufficient, to be reimbursed, to produce the bill of sale and a declaration of theft or loss made to the local police.
When you return from your trip, if you still have traveler’s checks that you have not used, you can either keep them for use on a future trip, or get them back.